The Australian Bureau of Statistics (ABS) released its monthly report on motor vehicle sales this morning to reveal two conflicting data movements with an ominous under-tone. Though overall vehicle sales were up 1.3%, overturning the previous two months’ negative movement, one category of vehicle sales portrayed an economy entering a slump.
Passenger and sport utility vehicles (SUVs) rose collectively about 2.5%, seasonally adjusted, in June. But the “other” category of vehicles, which accounts for business vehicles like trucks, buses, vans, pickups, and delivery fleets, sunk by approximately 7%. Consumers may feel better about purchasing a car, but businesses aren’t seen to be investing in their delivery infrastructure in similar fashion. These very minute signs point to an economy that may be slowing faster than many assume.
